HomeMy WebLinkAbout2012-12-18 CC MINi 1 ate .
THE NIRTNRLRCE Of MINNESOTA
CITY COUNCIL MEETING MINUTES
December 18, 2012
REGULAR MEETING 7:00 P.M.
Mayor Harycki called the meeting to order at 7:01 p.m.
Present: Councilmembers Menikheim, Cook, Roush, Polehna, and Mayor Harycki
Staff present: City Administrator Hansen
City Attorney Magnuson
Finance Director Harrison
Fire Chief Glaser
Police Chief Gannaway
Public Works Director Sanders
Community Development Director Turnblad
Administrative Secretary Manos
PLEDGE OF ALLEGIANCE
A group of Girl Scouts led the Council and audience in the Pledge of Allegiance. They also sang
Rudolph the Red Nosed Reindeer and Santa Claus is Coming to Town.
APPROVAL OF MINUTES
Possible approval of December 4, 2012 regular and recessed meeting minutes
Motion by Councilmember Cook, seconded by Councilmember Menikheim, to adopt the
December 4, 2012 regular and recessed meeting minutes.
Ayes:
Nays:
Councilmembers Menikheim, Cook, Polehna, Roush and Mayor Harycki
None
PETITIONS, INDIVIDUALS, DELEGATIONS & COMMENDATIONS
Matt Dean, House of Representatives
Representative Dean informed the Council he has been redistricted away from Stillwater. He
thanked the Council for doing such a great job for the City of Stillwater.
Proclamation: Sara Damon Month
Mayor Harycki read a proclamation recognizing Sara Damon for bringing geography to life for
the students of Stillwater High School, fundraising for six wells in South Sudan, and
proclaiming December 2012 as Sara Damon Month.
Sara Damon stated that as the world's newest country, South Sudan needs our help because it is
an extremely impoverished country. She expressed that she feels fortunate to work in a
City Council Meeting December 18, 2012
community that recognizes the critical role that schools play in creating good citizens. She
explained the H2O for Life program and how local students have connected with the Lost Boys
of Sudan. She thanked the Stillwater Community for embracing this project.
Lily Lake Arena Improvements - Doug Brady
St. Croix Rec Center Manager Doug Brady provided information on Lily Lake Arena upgrades
that took place in 2012 at a cost of $520,000. The estimates had been $720,000. Additionally, a
low emissive ceiling, more efficient controls, a new water heater and subfloor heating were also
installed and the project still stayed within budget, mostly through labor cost savings because
arena staff did the project themselves.
Mayor Harycki, Councilmember Menikheim, Councilmember Polehna and City Administrator
Hansen thanked Mr. Brady and staff for a successful project, and thanked Richard Anderson for
donating the flooring.
Councilmember Polehna recognized the management skills of Mr. Brady.
Kriesel Card and Contribution
Mayor Harycki read a card from former City Administrator Nile Kriesel thanking the Council
for its support in the recent untimely passing of his wife, Martha. On behalf of the City, the
Mayor thanked Mr. Kriesel for the memorial donation and for his past service to the City.
OPEN FORUM
Nick Rowse, a Burnsville resident, presented a proposal for the preservation of one of the
Minnesota Zephyr engines. He feels scrapping and destroying the engines would be a significant
loss of Stillwater history. He would like Mayor Harycki to ask owner David Paradeau if he
would be willing to donate both engines and take a tax write -off. Mr. Rowse has spoken with
Ken Bueller, executive director of the Lake Superior Railroad Museum in Duluth, who agreed
with this proposal, which is to examine both engines and preserve the best one while scraping
the other and using proceeds to help fund the preservation. Mr. Rowse stated he also has spoken
with Kent Skar with Parks and Trails Division which now owns the trail behind the depot, who
has no objection, providing there is enough room for cyclists to get around the engine wherever
it is displayed. The engine would need to be moved away from the flood zone. Funds would be
used to build a shelter with a viewing platform for visitors.
Mayor Harycki responded that he has spoken with the executive director of the Stillwater Area
Chamber of Commerce who had a similar concept. Currently the immediate concern is
removing the one engine from City property. He added that City Administrator Hansen will
address this subject later in staff reports.
Councilmember Menikheim stated he likes the idea and perhaps one or two of the train cars
could be left as well to make a more impressive display.
STAFF REPORTS
Chief Gannaway stated the alcohol and tobacco compliance checks were done and out of the 60-
odd licenses, there were two tobacco failures and one alcohol failure.
Community Development Director Turnblad reported that the Greater MSP, the regional
economic development agency, is creating a business retention and expansion initiative program
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City Council Meeting December 18, 2012
to help local and regional entities retain and expand businesses. The Washington County launch
meeting will be January 22.
Public Works Director Sanders stated beginning Thursday morning, snow will be removed from
the downtown area. Also, outdoor ice rinks will not be open by Christmas due to the warm
weather.
City Attorney Magnuson reported that recently a notice of injury was served on each
Councilmember, Parks Board members and other officials. The notice has been sent to the
League of Cities Insurance Trust. The appointed counsel cautions Councilmembers not to
discuss the claim publicly. This will be discussed in a future executive session.
City Administrator Hansen reported that he was contacted December 5 by K & K Recycling
Services about the Zephyr engine, at Mr. Paradeau's direction. Mr. Hansen and City Attorney
Magnuson concluded that rather than a performance bond, the City would require an escrow
deposit of $12,000. The site would need to be contamination free and the City would have to be
named as an additional insured. These things did not happen and the recycling company
requested another extension. Mr. Hansen was contacted by another company, C & J Railroad
Corporation, which informed him they made arrangements to purchase the engine from Mr.
Paradeau. Mr. Paradeau informed Mr. Hansen he is not interested in donating the engine and
taking a tax credit. C & J Railroad Corporation stated they will try to fulfill the obligations
within 35 working days as requested, but stated there was no way they could pay the escrow
amount by today at 4:30. Mr. Hansen provided a copy of the C & J proposal which was received
tonight at 6:45 p.m. In addition, he received email from Ozark Mountain Railcar which claimed
to have an exclusive brokerage agreement to sell the train cars, and stated that any transactions
would need to go through them. He has no idea how valid this claim is.
Mayor Harycki commented that if a sale proceeds, the City loses its leverage to recoup removal
costs. Contamination would be a real problem if the engine is scrapped on City property. The
immediate need is to remove the engine from the area where a levee may need to be constructed
in the spring. He suggested the City move the engine onto Mr. Paradeau's property and asked
City Attorney Magnuson about City legal risk, if Mr. Paradeau could countersue claiming
damage.
City Attorney Magnuson replied that is always a possibility.
Councilmember Roush asked if the engine could be treated as an impounded vehicle.
City Attorney Magnuson stated the City does not have a method of putting the engine in a
secure place as it does with impounded vehicles.
City Administrator Hansen reminded the Council that the engine is also a public safety issue
because people have entered it and it is unstable.
Councilmember Polehna remarked that the City has already been overly generous with Mr.
Paradeau and the engine should be moved.
Mayor Harycki recapped for the audience that public funds would be expended to move the
engine, but the property itself can carry a lien so a mechanism exists to get the money back,
whereas if it is sold, the City loses that leverage.
Councilmember Menikheim agreed with Councilmember Polehna that the City has been patient
enough. He would prefer to carry out the abatement order.
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City Council Meeting December 18, 2012
Councilmember Cook pointed out that in email sent to the City, a gentleman who made the most
recent offer, in an earlier email had stated that if $10,000 would move the locomotive off City
property he would be willing to advance that money.
Motion by Councilmember Menikheim, seconded by Councilmember Polehna, to carry out the
abatement order.
Ayes:
Nays:
Councilmembers Menikheim, Cook, Roush, Polehna, Mayor Harycki
None
CONSENT AGENDA
Resolution 2012 -203, directing payment of bills
Possible approval to carry over Capital Outlay Items:
a) MIS
b) Fire
c) Library
d) Plant City Hall
e) Sewer, Parks, and Engineering
Possible approval to carry over Operating Professional Services — Community Development
Resolution 2012 -204, approving of Animal Humane Society (AHS) Letter of Understanding
for Impound Housing Services (2013)
Possible approval to purchase 2 Mobile Data Computers — Fire
Resolution 2012- 205, a resolution approving abatement of certain special assessments —
PIN: 33.030.20.31.0034
Resolution 2012 -206, approval of renewal of Wolf Tour Cycle license for 2013
Possible approval of Jetter /Vactor rehabilitation
Possible approval of LMCIT insurance liability waiver
Resolution 2012 -207, a resolution approving contract between the City of Stillwater and
Sand Creek Group, Ltd.
Motion by Councilmember Roush, seconded by Councilmember Polehna, to adopt the Consent
Agenda.
Ayes: Councilmembers Menikheim, Cook, Polehna, Roush, and Mayor Harycki
Nays: None
PUBLIC HEARINGS
There were no public hearings.
UNFINISHED BUSINESS
Possible approval of second reading of Ordinance 1054, an ordinance amending the Stillwater City
Code Section 31 -300 entitled Establishment of Districts by Rezoning 18.92 acres to RB, Two -
Family Residential
Motion by Councilmember Roush, seconded by Councilmember Polehna, to adopt Ordinance
1054, amending the Stillwater City Code Section 31 -300 entitled Establishment of Districts by
Rezoning 18.92 acres to RB, Two - Family Residential.
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City Council Meeting December 18, 2012
Ayes: Councilmembers Cook, Menikheim, Polehna, Roush, Mayor Harycki
Nays: None
Possible approval of second reading of Ordinance 1055, an ordinance amending the Stillwater City
Code Chapter 31, entitled Zoning Ordinance by adding "armory" and "municipal fire station" in the
RB, Two- Family Zoning District as Specially Permitted Uses
Motion by Councilmember Roush, seconded by Councilmember Polehna, to adopt Ordinance
1055, an ordinance amending the Stillwater City Code Chapter 31, entitled Zoning Ordinance by
adding "armory" and "municipal fire station" in the RB, Two- Family Zoning District as Specially
Permitted Uses.
Ayes: Councilmembers Cook, Menikheim, Polehna, Roush, Mayor Harycki
Nays: None
Possible approval of title transfer for Armory property
City Attorney Magnuson reported that the commitment to go forward with the Armory project
requires this conveyance.
Councilmember Cook commented that she has voted for the annexation and rezoning to support
City efforts to have a more centrally located fire department, however she cannot support
transferring the title for the Armory because she remains extremely concerned that expenses
incurred are not in the best interests of the City. This is no reflection on her profound respect for
the work of the National Guard.
Motion by Councilmember Polehna, seconded by Councilmember Roush, to adopt Resolution
2012 -208, authorizing the conveyance of certain property to the Minnesota State Armory
Commission.
Ayes: Councilmembers Menikheim, Polehna, Roush, Mayor Harycki
Nays: Councilmember Cook
Colonel Jenson, facilities management officer, thanked the Council for its efforts in partnering
with the National Guard. The Armory project is about 65% designed and is moving along.
Councilmember Polehna thanked Col. Jenson for the Guard' s partnership.
Possible approval of second reading of Ordinance 1056, an ordinance amending Chapter 33 of the
Stillwater City Code
City Attorney Magnuson noted this ordinance corrects a previous error.
Motion by Councilmember Cook, seconded by Councilmember Menikheim, to adopt Ordinance
1056, Ordinance amending Chapter 33 of the Stillwater City Code.
Ayes: Councilmembers Cook, Menikheim, Polehna, Roush, Mayor Harycki
Nays: None
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City Council Meeting December 18, 2012
Possible approval of resolution adopting a modification to the development program For
Development District No. 1, and modification of the Tax Increment Financing Plan for Tax
Increment Financing District No. 4 within Development District No. 1, pursuant to and in
accordance with Minnesota Statutes Sections 469.124 to 469.134 and 469.174 to 469.179
City Administrator Hansen reported he believes the modification should be adopted at this time
because laws can change and this gives the City maximum flexibility.
Motion by Councilmember Polehna, seconded by Councilmember Roush, to adopt Resolution
2012 -209, Adopting a modification to the development program For Development District No. 1,
and modification of the Tax Increment Financing Plan for Tax Increment Financing District No. 4
within Development District No. 1, pursuant to and in accordance with Minnesota Statutes Sections
469.124 to 469.134 and 469.174 to 469.179.
Ayes: Councilmembers Cook, Menikheim, Polehna, Roush, Mayor Harycki
Nays: None
NEW BUSINESS
Possible approval of members to Library Board
Motion by Councilmember Polehna, seconded by Councilmember Cook, to adopt Resolution 2012-
210, appointment & reappointments to Library Board.
Ayes: Councilmembers Cook, Menikheim, Polehna, Roush, Mayor Harycki
Nays: None
Possible approval of the release of Regan lot from Bradshaw Addition Developer's Agreement
City Attorney Magnuson explained that this action releases a lot from conditions of a
developer's agreement made back in 2001 because all obligations have been fulfilled.
Motion by Councilmember Roush, seconded by Councilmember Polehna, to adopt Resolution
2012 -211, a resolution authorizing the execution of Certificate and Release.
Ayes: Councilmembers Cook, Menikheim, Polehna, Roush, Mayor Harycki
Nays: None
Possible approval of member to Planning Commission
Motion by Councilmember Menikheim, seconded by Councilmember Polehna, to adopt Resolution
2012 -212, Appointing Ryan Collins to the Planning Commission.
Ayes: Councilmembers Cook, Menikheim, Polehna, Roush, Mayor Harycki
Nays: None
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City Council Meeting December 18, 2012
Hiring a consultant to complete reports related to the local designation of 604 4th Street South and
216 Willard Street West
Community Development Director Turnblad explained that only one bid for this work was
received, from The 106 Group of St. Paul, in the amount of $16,580. Staff feels this is excessive
but this is the only bid received. The timeframe for this work is tight, with five weeks allowed
for the report to be done to meet ordinance deadlines. He stated that the Council's options are
to: 1. Approve a contract with the 106 Group; 2. Deny a contract with the 106 Group. If the
Council denies the contract, then the property owner will be permitted to demolish the two
homes on May 5, 2013 once the six month review period is completed; or 3. Take no action. If
the Council takes no action on the contract, then the property owner will be permitted to
demolish the two homes on May 5, 2013 once the six month review period is completed.
Councilmember Menikheim commented this may not be a good test case for the new ordinance.
Councilmember Cook stated the report will be important to get a baseline for how the ordinance
will work.
Mayor Harycki stated the City should at least complete Stage 1; do initial research on the two
properties to make an initial determination of significance, which would cost $3,252.75
according to the staff report.
Councilmember Roush stated in theory he supports this to preserve history, but is concerned
about the expense to the City.
Councilmember Menikheim stated he can't support subjugating property owner rights to test the
ordinance.
Councilmember Polehna stated he cannot justify making the property owner spend $16,000 to
justify getting rid of a house. This is an unfair cost to a taxpayer.
Mayor Harycki commented this will be a learning experience and will hopefully give staff
experience to help make the ordinance more workable going forward.
Motion by Councilmember Cook, seconded by Mayor Harycki, to contract with The 106 Group for
Stage 1 at a cost of $3,252.75.
Ayes: Councilmember Cook, Mayor Harycki
Nays: Councilmembers Menikheim, Roush, Polehna
The contract was not approved; therefore the property owner will be permitted to demolish the
two homes on May 5, 2013 once the six month review period is completed.
COUNCIL REQUEST ITEMS
Yellow Ribbon Update
Councilmember Polehna reported that another pheasant hunt for 60 troops took place last
weekend. He also stated Hugo, the City that Stillwater mentored, was awarded a national award
for supporting service members.
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City Council Meeting
December 18, 2012
Middle St. Croix WMO Study on Administrative Costs for Water Manaaement Organizations
Councilmember Polehna reported that administrative fees of the Middle St. Croix Water
Management Organization were found to be very low. He felt that it was because elected
officials participate on the board and most of their monies are provided by grants.
Mayor Harycki expressed concern that the administrative fee is 12% compared to the Rice
Creek WMO which is 7% and Brown's Creek Watershed is 9%. He felt that it was unfair that
some residents have to pay into two watershed districts and would like to see the double billing
addressed.
ADJOURNMENT
Motion by Councilmember Menikheim, seconded by Councilmember Polckna, to adjourn at
8:37 p.m. All in favor. ✓
Ken
ATTEST:
Diane F. Ward, City Clerk
Resolution 2012-203, Directing the Payment of Bills
Resolution 2012-204, Approving of Animal Humane Society (AHS) Letter of Understanding
for Impound Housing Services (2013)
Resolution 2012-205, Approving the abatement of certain special assessments
Resolution 2012-206, Granting license to Patricia Wolf for the operation of multi-person tour
cycles on city streets and rescinding Resolution 2012-134
Resolution 2012-207, Approval of contract between the City of Stillwater and Sand Creek
Group, Ltd.
Resolution 2012-208, Authorizing the conveyance of certain property to the Minnesota State
Armory Commission
Resolution 2012-209, Adopting a modification to the development program For Development
District No. 1, and modification of the Tax Increment Financing Plan for Tax Increment
Financing District No. 4 within Development District No. 1, pursuant to and in accordance
with Minnesota Statutes Sections 469.124 to 469.134 and 469.174 to 469.179
Resolution 2012-210, Appointment & reappointments to Library Board
Resolution 2012-211, A resolution authorizing the execution of Certificate and Release
Resolution 2012-212, Appointing Ryan Collins to the Planning Commission
Ordinance 1054, Ordinance amending the Stillwater City Code Section 31-300 entitled
Establishment of Districts by Rezoning 18.92 acres to RB, Two-Family Residential
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City Council Meeting December 18, 2012
Ordinance 1055, Ordinance amending the Stillwater City Code Chapter 31, entitled Zoning
Ordinance by adding "armory" and "municipal fire station" in the RB, Two - Family Zoning
District as Specially Permitted Uses
Ordinance 1056, Ordinance amending Chapter 33 of the Stillwater City Code
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